Earthquake issues - insurance and commercial property - expert comment
The central New Zealand earthquakes have put the spotlight on key issues for businesses, particularly insurance and
property matters. Some business owners may have had to close the doors due to property damage. For others in the
Wellington CBD, and other significantly affected areas, there may be no customers while people remain out of earthquake
affected areas.
Business Interruption
Jonathan Scragg, a partner at Duncan Cotterill in Wellington says business interruption insurance is crucial to help
reduce the risk of financial loss caused by such situations. It can provide compensation to business owners while their
doors are closed due to earthquake damage. For those without business interruption insurance, the earthquakes may leave
business owners out in the cold.
Commercial Property
Many landlords and tenants in Wellington will be currently taking stock of the damage caused to their premises. Under
most commercial leases, the landlord will be responsible for repairs to the structure and exterior of leased premises.
Landlords and tenants should check their lease documents to see where the legal responsibilities lie.
ENDS